The building of the NBH in Budapest – Photo: wikimedia

Policy makers leave base rate on hold at 13 percent, cut O/N collateralised loan rate

The Monetary Council of the National Bank of Hungary (NBH) decided to leave the base rate on hold at 13.00 percent, but voted to cut the central bank's O/N collateralised loan rate by 450 basis points to 20.50 percent at a monthly policy meeting on Tuesday.

Deputy governor Barnabas Virag had flagged the cut in the O/N collateralised loan rate, the top of the central bank’s “interest rate corridor”, a week earlier.

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